TV has the reputation of being a highly untargeted, legacy media platform that is expensive, largely unmeasured and sometimes a vanity purchase by CMOs who want to see their brand’s name on the big screen. But TV can not only improve brand awareness, authority and recognition, but help lower CAC and improve ROAS.
The DTC “discovery to delivery” business model has many advantages. You own the end-to-end customer journey, and develop a direct, digitally-driven and engaging relationship with them. DTC brands using smart technology also have unfiltered insight into customer behavior and real-time data at every step along the process.
Direct-to-consumer (DTC) gives brands the ability to collect and utilize first-party consumer behavioral data to make the shopping experience more personalized, to build loyalty and improve advertising returns. The bigger and more detailed your data store is, the better you can target your core consumer and create repeat purchases.
The monumental shift to ecommerce is causing businesses to re-evaluate their fulfillment experience to make sure they get it right. At the heart of that process is understanding how to improve the status quo by putting the customer relationship front and center. The stakes are high, but those who get it right will see substantial growth.
The one thing brands can control is their online sales channel. From checkout to last mile delivery, DTC brands can ensure a seamless ecommerce experience. With the majority of Q4 and holiday shopping expected to shift online, brands must have their entire ecommerce channel prepared for an optimal customer experience.
Nike is shutting out nine of its retail partners as the company continues a major focus and shift toward direct-to-consumer (DTC) sales, according to a note from Susquehanna Financial Group analyst Sam Poser. The nine retailers are Belk, Dillard’s, Zappos, Boscov’s, Bob’s Stores, Fred Meyer, EBLens, VIM and City Blue.
Companies that are resistant or slow to change face real threats from the emergence of a new group of DTC brands, boosted by technology, that can deliver a complete end-to-end customer experience. Laggards need to address their operations urgently, or risk being digitally leapfrogged and left behind by the pack of hungry DTCs.
To succeed in this new world of retail disruption and ever-shifting customer demands, smart brands are moving to a direct model. The benefits of DTC can be substantial but require a dramatic retooling of operations, from customer service to returns management, direct merchandising, direct delivery and warehousing and logistics.
Brands are challenged with finding a way forward even when traditional DTC models threaten to crack—and thinking outside the box to find the post-coronavirus formula for success. Fortunately, DTC doesn’t just mean selling on your own site. Here are some of the strong benefits of adding marketplaces to your DTC channel mix.